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Top news today, 1040 extended due date. If you have applied for an extension for your 1040, October 15 is the last day to file your tax return. If you have not started, we urge you to start soon. If you have suffered financial losses from the recent Hurricane Ida, you can include those losses as deductions when you file your 2020 tax return to obtain a refund. For families and individuals who are making more than four hundred thousand dollars a year, it is very likely that th

Recently President Joe Biden and house democrats have unveiled tax plans to raise levies on taxpayers making more than $400,000 of annual income, which equates to the top 1% to 2% of wealthiest households in the country. Although the $400K threshold does not really match household statistics, Americans with $500,000 or more of income were in the top 1.1% of tax filers in 2018, according to most recent IRS data. Single taxpayers with $400k or more income ($450K for married cou

Before you can ask the question of “how much can I reduce my tax bill?”, It is important to understand two fundamentals: your tax bracket and your effective tax rate. Your tax bracket changes as you make more income. It starts at 10% and then it goes up to 12%, 22%, 24%, all the way up to the highest bracket, which is 37%. Only the income made within a bracket is taxed at its rate, which is one of the things that leads to the difference between your tax bracket and your effec

Do you feel like you're overpaying on your taxes? If so, you may want to consider tax planning. Tax planning is taking actions that proactively minimize your tax liability. You take action to avoid paying huge tax bills by implementing legal, effective tax planning strategies like maximizing your deductions, income shifting, and deferrals, to name a few. There are three things you need to know before pursuing tax planning: Number one, tax planning is the best legal way to cut

As a reminder to business owners or self-employed individuals (freelancer, independent contractor, etc.), today is the deadline for your third quarter estimated tax payment. Something is better than nothing. We strongly recommend that you make some payments to avoid unnecessary underpayment penalties. In addition, today is also the filing deadline for your business tax returns including partnerships and S corporations. If you have questions and need help, please do not hesita

As a business owner, how well do you know your numbers and what do they mean? It is the most important aspect of your business because without monitoring your profitability by understanding your net profit margin, you may end up losing money without even realizing it. In this video, we explain why it is important to understand your net profit and your net profit margin, its implications on different businesses, and whether your business is successful. Watch our latest video t

If you have just started a business and you are thinking of hiring employees, it is easy to believe that payroll starts and ends when you issue checks to your employees, however that isn’t the case. You need to be aware of your payroll tax obligations and many other payroll filing deadlines. In our latest video, we go over what you need to know about payroll taxes and tax forms you need to file to stay out of trouble with the IRS. If you have questions about payroll taxes or

President Biden is planning to raise taxes on corporations and the wealthiest Americans to help fund the $3.5 trillion plan. This includes major investments in education, childcare, and the fight against climate change. The tax plan would make several tax changes such as raising the corporate tax rate to 28% and restoring the top marginal individual income tax rate to 39.6%. It would also extend the expanded Child Tax Credit and provide tax credits to small business owners th

You own a single-member LLC or a sole proprietorship and you have heard of the advantages of becoming an S-corp. Do you know that your business entity structure could largely affect how much taxes you will pay? Our latest video explains how you could save you thousands in taxes by filing an S election! If you have any concerns about overpaying in taxes? Share your thoughts with us here. If you have questions or need help with tax planning, please do not hesitate to call us at

When running a business, understanding your financial performance is essential to the success of your company. Do your monitor your profitability at least on monthly basis? In this video, our Certified Public Bookkeeper, Tasha Yao walks you through quick tips to generate balance sheets and profit and loss reports in QuickBooks. If you have questions about QuickBooks, please do not hesitate to call us at (832) 295-3353. You can also set up an appointment with us at https://xqc